While Ravi Kumar’s target compensation was ₹137 crore in FY 2024, his realised salary stood at ₹70 crore due to unvested performance-linked stock grants.
New Delhi | April 21, 2025
Cognizant CEO Ravi Kumar, one of the top-paid executives in the IT sector, had his target pay package for 2024 pegged at ₹137 crore ($16.1 million). However, according to the company’s recent SEC filing, Kumar’s realised compensation for the year was ₹70 crore ($8.2 million).
The difference stems from unvested Performance Share Units (PSUs)—a portion of his compensation that is contingent upon meeting future performance goals.
📊 Key Compensation Highlights:
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- Target Compensation (2024): $16.1 million (~₹137 crore)
- Realised Compensation (2024): $8.2 million (~₹70 crore)
- Compensation in 2023: $22.6 million (included a one-time equity award)
- CEO-to-Median Employee Pay Ratio: 378:1
🧾 What His Pay Includes:
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- Base Salary
- Annual Cash Incentive (ACI)
- Quarterly vesting of Restricted Stock Units (RSUs)
- Performance-linked Stock Grants (PSUs – not yet vested)
The Compensation Committee of Cognizant stated that the 11% hike in Kumar’s target compensation this year was to reward his leadership in his first full year as CEO and to align with peer-level executive pay standards.
👨💼 About Ravi Kumar:
- Former President of Infosys (2016–2022)
- Engineering graduate from Shivaji University, Kolhapur
- MBA from Xavier Institute of Management, Bhubaneswar
- Took charge of Cognizant in early 2023
🏢 Company Snapshot:
- Total Employees (as of Dec 2024): ~336,800
- India: 241,500
- North America: 42,800
Despite a drop in his actual earnings from 2023 (due to the absence of one-time equity grants), Kumar’s compensation trajectory highlights his growing influence at Cognizant and reflects the increasing gap in executive-to-employee pay within the tech industry.
Tags: Cognizant CEO Salary, Ravi Kumar Cognizant, IT Salary India, Cognizant Employee Pay Ratio, Tech Executive Compensation